Tuesday Nov 18, 2025
Tuesday Nov 18, 2025
Tuesday, 18 November 2025 00:00 - - {{hitsCtrl.values.hits}}
Chairman Ajit Gunewardene (left) and CEO Pubudu De Silva
The Teejay Group has announced its financial results for the first half of the 2025/26 financial year, recording a steady position. The results underscore the Group’s disciplined working capital management and reduction in loan exposure, enabling it to remain resilient amid a challenging global market landscape.
For the six-month period ending 30 September 2025, Teejay Lanka PLC reported a Profit After Tax (PAT) of Rs. 0.4 billion, representing a 61% year-on-year decline. The reduction was primarily driven by lower customer demand, pricing pressures and reduced capacity utilization, which impacted export competitiveness. Meanwhile, Group revenue for the six-month period under review stood at Rs. 31.3 billion, reflecting a 4% year-on-year decrease, amid continued softness in global textile demand and competitive pricing across key export markets. The decline in the Gross Profit by 22% year-on-year to Rs. 2.5 billion is primarily a result of lower production volumes and underutilized manufacturing capacity.
Despite these short-term pressures, the Group sustained a solid financial position, supported by disciplined working capital management and a strong liquidity base. As of 30 September, cash and cash equivalents amounted to Rs. 9.4 billion, while the year-on-year net asset base expanded by 3% to Rs. 31.4 billion. Year-on-year Net Asset Value (NAV) per share increased from Rs. 42.19 to Rs. 43.59, reflecting continued shareholder value preservation.
Commenting on the performance, Teejay Group Chairman Ajit Gunewardene said, “Amid global uncertainties, Teejay’s resilience continues to underpin the Group’s position in the industry. While we recognize that the operating environment will remain challenging from continued volatility in global markets to evolving customer demand and cost pressures, the efforts placed by Teejay Lanka with an approach to long-term capital preservation, growth and a strong operational foundation, we remain committed to delivering sustainable value for our shareholders.”
Teejay Group CEO Pubudu De Silva added, “Our commitment to operational flexibility, efficient production practices, and strong customer collaborations has allowed us to deliver a balanced performance. Looking forward, we remain focused on driving innovation and maintaining operational excellence, while strategically managing risks to navigate the challenges ahead with confidence and optimism.”
The Group remains attentive to potential shifts in the global trade environment, including the United States Harmonized Tariff Schedule (HTS) developments, which may have implications for both direct and indirect exports from Sri Lanka and India.
Teejay Lanka PLC will continue to adopt a cautious and adaptive approach to sustain long-term value creation and operational stability. With its international reach, strategic alliances and highly responsive supply chain, Teejay is well-positioned to meet evolving market challenges and accelerate future growth.
